Explaining your redundancy payments

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Redundancy payments are made up of several different elements. Find out more about how we work out what you're owed and what we can pay you.

Adapted edition

Document type
Reference Guide
Format
DOCX
Pages
6
Language
English
Version
1.0
Updated
2026-09-17
Description

Redundancy payments are made up of several different elements. Find out more about how we work out what you're owed and what we can pay you. Consult the original guidance for current legal and operational details.

Contents
  • Elements you can claim for
  • Restrictions on what we can pay
  • Determining your weekly pay
  • The types of payment we can make
  • Redundancy pay
  • Holiday pay accrued and holiday taken but not paid
  • Arrears of pay
  • Notice worked but not paid
  • Loss of notice compensation, also known as statutory notice pay and pay in lieu of notice
  • Protective awards
  • Other tribunal awards
  • How we make payments to you
  • Pensions
  • Why we deduct tax and National Insurance from your payment
  • Deductions for money you owed to your employer
  • Deductions for money which we have overpaid you
Source and licence
Explaining your redundancy payments

The Insolvency Service

AttributionThe Insolvency Service, ‘Explaining your redundancy payments’ (updated 6 April 2026), reused under the Open Government Licence v3.0.

ChangesNeutral text-only adaptation from the official GOV.UK Content API body: headings, paragraphs, ordered and unordered list items and clickable source-link destinations in an appendix preserved. Images, logos, page design, accessible-format request widgets and linked attachments excluded; normalised whitespace, invisible format marks and typography.

Version history
  • v1.017/09/2026
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